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Calculate Break-Even Point in terms of number of customers and sales revenue Year 1: 100 customers Year 2: 125 customers Year 3: 175 customers Gross
Calculate Break-Even Point in terms of number of customers and sales revenue
Year 1: 100 customers
Gross Profit Section Year Revenue Cost of Sales Total Notes 1 50000 30,000.00 Revenue:100x500 20000 20625 2 62500 41,875.00 Cost of Sales:12500+25x 100+5000 Revenue:125x500; Cost of Sales:12500+25x125+5000 Revenue:175x500 Cost of Sales: 12500+25x 174+5000 87500 21875 65,625.00 Total Operating Expenses Section Year 1 2 3 Notes 2500 2500 2500 10000 12500 20000 8000 8000 8000 Annual Processing Charge Wages Lease Payment Computer Consumables Legal & Insurance Advertisement Total 250 375 350 2500 2500 2500 3500 3500 3500 29,375.00 26,750.00 36,850.00 Depreciation Depreciation Total Operating Profit 7000 7000 7000 (3,750.00) 5,500.00 21,775.00 1 N 3 Notes Year Interest Profit/Loss Before tax 3000 3000 3000 w (6,750.00) 2,500.00 18,775.00 Year 2: 125 customers
Year 3: 175 customers
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